Donoghue Forlines Tactical Income Fund Class A (PWRAX)

Overview

The fund operates within the financial industry, focusing on investments in income-producing fixed income and alternative strategy exchange-traded funds (ETFs). It aims to generate revenue by investing in a variety of ETFs, including those that handle non-investment grade fixed income securities, commonly referred to as "high yield" or "junk" bonds. These are specifically bonds rated below Baa3 by Moody's Investors Service or similarly by another rating agency. The fund's strategy encompasses diversification across dividend-paying equity securities of U.S., foreign, and emerging market issuers, aiming to provide its investors with a balanced yet potent portfolio through a mix of traditional and innovative investment approaches.

Products and Services

• Income-Producing Fixed Income ETFs

  This category includes exchange-traded funds that primarily focus on generating income through fixed income securities. These might encompass bonds of various credit qualities, including those rated below investment grade. The goal is to offer steady income, particularly from interest payments, making it an attractive option for income-focused investors.

• Alternative Strategy ETFs

  These ETFs pursue non-traditional investment approaches, potentially including hedge fund strategies or leveraging alternative assets. They aim to provide diversification and hedge against market volatility, offering a complementary investment solution alongside more traditional equity and fixed income securities.

• High Yield/Junk Bond ETFs

  Investing specifically in non-investment grade fixed income securities, these ETFs target higher returns by accepting a greater level of risk. The "high yield" or "junk" bonds within these ETFs are rated below Baa3 by Moody's or similarly by other rating agencies, offering potentially higher income at the cost of increased risk of default.

• Dividend-Paying Equity ETFs

  This investment focuses on ETFs that primarily invest in dividend-paying equity securities. It encompasses issuers from the U.S., foreign countries, and emerging markets, aiming to provide investors with growth through dividends. It represents an approach to tap into the equity markets while still seeking income through dividends, appealing to those who wish to balance growth with income generation.